ProShares Ultra S&P500 ETF Forecast

Evaluation of ProShares Ultra S&P500 ETF downgraded after the last trading session.
(Updated on May 15, 2024)

SSO Signals & Forecast

The ProShares Ultra S&P500 ETF holds buy signals from both short and long-term Moving Averages giving a positive forecast for the stock. Also, there is a general buy signal from the relation between the two signals where the short-term average is above the long-term average. On corrections down, there will be some support from the lines at $76.26 and $74.06. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Friday, April 19, 2024, and so far it has risen 13.83%. Further rise is indicated until a new top pivot has been found. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Volume is rising along with the price. This is considered to be a good technical signal.

Support, Risk & Stop-loss for ProShares Ultra S&P500 ETF

On the downside, the ETF finds support just below today's level from accumulated volume at $74.46 and $72.04. There is a natural risk involved when a ETF is testing a support level, since if this is broken, the ETF then may fall to the next support level. In this case, ProShares Ultra S&P500 finds support just below today's level at $74.46. If this is broken, then the next support from accumulated volume will be at $72.04 and $71.53.

This ETF has average movements during the day and with good trading volume, the risk is considered to be medium. During the last day, the ETF moved $1.43 between high and low, or 1.85%. For the last week, the ETF has had daily average volatility of 1.34%.

The ProShares Ultra S&P500 ETF is extremely overbought on RSI14 (78). Normally this may pose a good selling opportunity but since the ETF has broken the trend up, the chance for a major correction due to high RSI is very small as the ETF will find support at the trend broken.

Our recommended stop-loss: $74.83 (-4.89%) (This ETF has medium daily movements and this gives medium risk. The RSI14 is 78 and this increases the risk substantially. There is a buy signal from a pivot bottom found 18 days ago.)

Trading Expectations (SSO) For The Upcoming Trading Day Of Thursday 16th

For the upcoming trading day on Thursday, 16th we expect ProShares Ultra S&P500 to open at $78.26, and during the day (based on 14 day Average True Range), to move between $77.19 and $80.15, which gives a possible trading interval of +/-$1.48 (+/-1.88%) up or down from last closing price. If ProShares Ultra S&P500 takes out the full calculated possible swing range there will be an estimated 3.76% move between the lowest and the highest trading price during the day.

With no resistance above and support from accumulated volume @ $74.46, some $4.21 (5.35%) from the current price of $78.67, our system finds the risk reward attractive.

Is ProShares Ultra S&P500 ETF A Buy?

ProShares Ultra S&P500 holds several positive signals, but we still don't find these to be enough for a buy candidate. At the current level, it should be considered as a hold candidate (hold or accumulate) in this position whilst awaiting further development. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this ETF since the last evaluation from a Buy to a Hold/Accumulate candidate.

Current score: 0.000 Hold/Accumulate Downgraded

Zero in score indicates that our system is expecting high volatility and risk for the following trading day. Given the latest developments, we cannot determine the next direction as it may go both ways.

Predicted Opening Price for ProShares Ultra S&P500 of Thursday, May 16, 2024

The predicted opening price is based on yesterday's movements between high, low, and closing price.